Developer asks for first-year sales-tax rebate for new Jack's Family Restaurant site

A representative of JAX told the finance committee the company plans to invest more than $3 million to build a Jack's Family Restaurant in southeast Tuscaloosa and asked the council to rebate the city portion of first-year sales tax to help cover remediation and access work.

Jim Avery, who identified himself as lead of the JAX development team, said the project site is a former gas station that requires site work and contaminated-soil remediation. He estimated first-year sales of about $2.1 million and said the company's request would rebate roughly the city sales tax revenue from that first year — approximately $63,000 at current rates — with all sales tax reverting to the city after year one.

Avery also said a right-turn lane required for access would cost about $150,000 and that the proposed sales-tax rebate was intended to help make the project feasible. City staff said they had evaluated alternatives such as permit and service fee waivers but concluded those options would not generate sufficient value to meet the developer’s financing needs.

Councilors discussed timing and required public-notice publication dates; staff said the item could return for formal consideration at a future meeting with required publication for a public hearing. No formal vote on an incentive was recorded in the transcript.

What’s next: Council members said they will review the developer’s materials, consult district members and consider a formal vote after required public-notice steps.